Right to Work Checks: What’s Changing from 1 October 2026

The Home Office has published draft guidance setting out significant reforms to the UK’s Right to Work regime, due to take effect on 1 October 2026. The changes extend the circumstances in which checks may be required well beyond traditional employees, reaching certain workers, individual subcontractors, and online matching service arrangements for the first time.

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Who will the new provisions cover?

Until now, Right to Work checks have principally applied to employers in respect of their employees. From 1 October 2026, that scope is expected to widen considerably. The new provisions are expected to apply wherever an organisation employs or engages an individual:

• under a contract of employment (a contract of service or apprenticeship);
• under a worker’s contract;
• as an individual subcontractor; or
• when operating as an online matching service that provides details of an individual service provider to potential clients or customers.

Crucially, the reforms are not confined to conventional employment relationships: whether an arrangement is caught will turn on substance rather than label. They appear designed to close perceived gaps in the current regime where individuals may, in practice, be working for or within a business without being directly employed by it.

This does not mean every contractor, self-employed consultant, or managed service arrangement will automatically fall within scope. Organisations will need to look past the contractual description of an arrangement and consider what is actually happening in practice: whether the individual is engaged to provide labour personally, or whether the organisation is simply buying a service from an independent business; who holds the direct contractual relationship with the person carrying out the work; and who controls access to that work, including any right to use a substitute.

The concept of extended liability

A central feature of the draft Code is extended liability. The Home Office’s stated starting point remains that it will pursue the direct employer where illegal working is identified. However, where the direct employer cannot be identified, or where parties in the contractual chain cannot demonstrate that the prescribed requirements have been met, liability may move further up the chain.

This does not mean a client or end user will automatically become liable whenever illegal working is identified within a supplier’s workforce. But for organisations relying on agencies, subcontractors, outsourced providers or other labour supply models, it materially raises the importance of understanding who is actually performing the work, on what basis, and under what contractual protections.

In managed service arrangements, the starting position will typically remain that the supplier is responsible for its own workforce. Even so, clients may wish to build in clear contractual protections and audit rights, so that they can evidence the reasonable steps taken to manage illegal working risk across the supply chain.

Contractual protections will matter

The draft Code makes clear that organisations wishing to protect themselves will need to do more than simply confirm that checks are taking place. Where workers or services are supplied through agencies, labour suppliers, subcontracting arrangements, or online platforms connecting service providers with customers, relevant contracts should include written provisions addressing Right to Work compliance before work begins. Depending on the arrangement, this may include:

• a requirement that checks be completed;
• controls on onward subcontracting;
• audit rights;
• a mechanism for taking action where non-compliance is identified; and
• an obligation to cooperate with any Home Office enquiry.

Organisations should review relevant contracts as part of their preparations. The expanded regime is expected, for legal purposes, to apply to relevant employment or engagement arrangements beginning on or after 1 October 2026. There is no suggestion that existing contracts must be amended simply because the underlying arrangement pre-dates that cut-off, but organisations may still wish to review ongoing arrangements that will continue beyond it, focusing on whether responsibility for compliance is clear and whether existing controls are fit for purpose.

Substitution and identity verification

Substitution is a particular area of focus in the draft Code. Where a substitute is used, organisations will need to ensure that the substitute’s Right to Work is checked before they begin work; responsibility cannot simply rest with the original worker. This will be especially relevant in sectors where substitution rights are common, and organisations will need to be able to identify who is actually carrying out the work at any given time.

The proposed regime also places new emphasis on identity verification throughout the working relationship, not merely at onboarding. The guidance references measures such as workplace identification cards, facial verification technology, attendance systems, and periodic identity checks. Organisations should be able to demonstrate that the person whose Right to Work was originally checked is the same person actually performing the work.

Where a digital verification service provider is used, organisations should confirm the provider is registered and that the required visual and record-keeping steps are still being carried out correctly. Outsourcing part of the verification process does not remove the organisation’s own responsibility for ensuring checks are completed properly.

Preparing for 1 October 2026

Right to Work compliance remains a clear Home Office enforcement priority. Organisations should use the period ahead of 1 October 2026 to identify which arrangements may fall within the new provisions and assess whether current processes are sufficiently robust.

Where gaps are identified, organisations may need to update contracts, strengthen audit rights, improve identity verification controls, or roll out targeted training.

Sterling Law’s Immigration team can help organisations prepare for these changes, including reviewing contractual arrangements and compliance processes, delivering tailored training, and advising on Home Office enquiries or compliance concerns.

This article is a general summary of the law and should not be treated as a substitute for legal advice tailored to your specific circumstances.

Earlier background: Right-to-Work Compliance Is Changing: What Businesses Need to Know Before October 2026.